1. MOVING UP THE SUPPLY CHAIN: LESSONS FROM ECOP BIG ENTERPRISE SMALL ENTERPRISE (EBESE) PROGRAM PRESENTED BY Dr. MIFLORA M. GATCHALIAN GOVERNOR Employers Confederation of the Philippines (ECOP) Institute For Productivity and Competitiveness Foundation, Inc. (EIPCF)

2. PRESENTATION OUTLINE I. Introduction II. EBESE: The EIPC Foundation Model III. Milestones of the EBESE Model IV. DAP Evaluation of the EBESE Model V. Philexport: A Key Partner of EIPC Foundation VI. Looking Forward to …

3. Employers Confederation Of The Philippines (ECOP) ECOP Institute for Productivity and Competitiveness Foundation INTRODUCTION

4. EIPC Foundation is a non-stock non-profit organization which was organized in 2004 and formally incorporated as such in 2008 by eleven pioneers in the field of productivity and competitiveness. It serves as the productivity arm of the Employers Confederation of the Philippines (ECOP ).

5. EIPC Foundation Board of Governors Top (L-R): Marilou Calzado, Atty. Ranulfo Payos, Engr. Serafin Pantaleon, Roberto Sison (President), Atty. Eduardo Rondain, Reylito Elbo Bottom(L-R): Maria B. Villar, Feliciano L. Torres (Chairman), Raul Hernandez (President Emeritus), Dr. Miflora Gatchalian

6. PROGRAM MANAGERS Right to Left: Jean Maligaya, Joan Ignacio, Geepee Gonzales

7. VISION: We envision our stakeholders as world-class quality and productivity champions whose products and services are internationally competitive. EIPC FOUNDATION … MISSION : To be the leading catalyst in the pursuit of quality and productivity improvement to enhance national competitiveness and contribute to economic growth and social development of the Philippines

8. ECOP Big Enterprise- Small Enterprise Productivity Improvement Program THE EIPCF MODEL

9. WHAT IS EBESE A productivity improvement program where the supplier and buyer become partners in their quest to improve their competitiveness.

10. Strategy *Big Enterprises (BEs) are encouraged to partner with their suppliers so that both can achieve higher productivity and competitiveness. *Small Enterprises (SEs) are assisted to improve their quality, cost and delivery to effectively respond to demands of customers and buyers.

11. Full cycle approach: PROGRAM MODULE APPLICATION… PROGRAM MODULE APPLICATION… ADVOCACY – Accepting Change IMPLEMENTATION – Apply the Change MONITORING - Sustain the Change CONTINUAL IMPROVEMENT – The Change Becomes An Organizational Culture

12. Action training or “learning-by-doing” PROGRAM MODULE APPLICATION PROGRAM MODULE APPLICATION Actual implementation of improvements within three (3) months Aided by a Consultant – acting as mentor to the company’s productivity team

13. Improvements will be applied only on three areas : PROGRAM MODULE APPLICATION... *5S or Good Housekeeping *Plant Layout *Production Process

14. Key Result Areas (KRAs): PROGRAM MODULE APPLICATION … PROGRAM MODULE APPLICATION … *Increase Product / Service Quality *On Time Delivery of Goods/Services *Reduce Cost of Doing Business *Promote Employer-Employee Relationship Through the Joint-Problem Solving Approach *Satisfied Customers

15. Government Business Industry MILESTONES OF EIPCF’S EBESE

17. Small and Medium Enterprises (SMEs) find difficulty in pursuing the modern approaches in business survival. There is limited time and resources for the SMEs to focus on quality and productivity programs which can greatly affect their performance in terms of ensuring product quality, cost and delivery. Scarcity of human resource development programs or standardized employee training modules make it difficult for SME management to obtain employee commitment to initiate or sustain Q & P programs Small Enterprise (SE) Suppliers Need Assistance because …

18. QUALITY and PRODUCTIVITY TRAINING ACTIVITIES for having successfully completed the 5S Awareness Orientation conducted on July 28, 2005 at EMS Components Assembly Incorporated Training Room, 124 North Science Avenue, Laguna Techno park, Biñan Laguna Is hereby awarded to Alfonso A. Arcilla Jr. Facilitator Factory Manager 5S Area Champion

19. QUALITY and PRODUCTIVITY TRAINING ACTIVITIES

21. 225 SMALL ENTERPRISES 20052006200720082009 25 BIG ENTERPRISES 2010

22. INDUSTRIES COVERED AUTOMOTIVE INDUSTRY SEMI-CONDUCTOR PRINTING & PACKAGINGAGRO-INDUSTRIES FOOD FASHION ACCESSORIES FURNITURE & DECORS

23. Pampanga Bulacan Metro Manila Rizal Laguna Cavite Batangas Cebu (Visayas Area) Cagayan De Oro (Mindanao Area) GEOGRAPHICAL REACH

24. DEVELOMENT ACADEMY OF THE PHILIPPINES (DAP) PROGRAM EVUALUATION BY THE … Study Dimensions: *Partnership *Technology Adaptation *Benefits *Challenges *Satisfaction on the EBESE Program * Program Implementation

25. DAP EVALUATION CONCLUSIONS THE EBESE PROGRAM WAS EFFECTIVE AND MET ITS OBJECTIVES – The BE-SE relationship was enhanced – The EBESE has upgraded the skills of the SME beneficiaries (management and employees) – Productivity Improvement Program was institutionalized within the SME organization

26. DAP STUDY: EBESE Program Strengths Full Management Support of SMEs Full Participation of SME Employees Consultants – Dedicated and Skilled Training – Good Structure and Facilitators Program is Easy to Apply Visible Big Enterprise Support Customer –Enhanced Supplier Relationship Benchmarking Opportunities For SMEs Government & Industry Collaboration

27. EIPC FOUNDATION and PHILEXPORT PARTNERSHIP From 2009 – 2010, EIPC Foundation provided support through the EBESE program to nine (9) exporter members of Philexport in Luzon and Cagayan de Oro (Mindanao Region) In 2007, EIPC Foundation supported 22 SME members of Philexport-Cebu

28. LOOKING FORWARD TO … *Strengthening the PHILEXPORT and EIPC FOUNDATION partnership to develop more competitive exporters. * Institutionalization of the EBESE Productivity Improvement Program within the PHILEXPORT members all over the Philippines.

29. THANK YOU And GOOD DAY QUALITY PARTNERS COMPANY, Ltd. “fostering partnerships for quality